Greetings Friends,

I recently bought an '05 Accord from CarMax, and I'm totally thrilled with the car. It has about 60K miles on it; my buddy is the shop manager and he looked up the history—it's clean, better even than most CarMax cars.

I also bought a huge extended warranty: up to 120K miles. The warranty cost $1800, with a $300 deductible.

Here's my question: I can cancel the extended warranty and save $1800. I'm thinking that I could just put that money in the bank, rather than pay interest on it over the next couple of years.

What's your take on my situation? Is this car reliable enough to warrant not having the warranty? How much would a major repair cost, and how likely is it likely to be necessary?

Thanks, all, for your help!

 

I would take the car to get a buyers inspection. Maybe your honda dealer will do this service to see if there are any potential problems.

I would also find out from the Honda dealership if the car had regular oil changes at the dealership. They should be able to look up the car by the VIN to see if any Honda dealership serviced the vehicle. Maybe there is a sticker on the windshield of where the car had oil changes?